1. Shop around.
If you see something you want to purchase, visit 2-3 other shops nearby that sell the same thing or something similar. Ask how much it costs at each of the shops. This will give you a general idea of a true starting price for negotiations. If one shop quotes you $50, another quotes $35 and another one quotes you $20, you know the actual price is below $20.
2. Walk away.
Based on the knowledge you gain from Step 1, decide on the price that you think is fair and offer that. If the shopkeeper declines, you can simply thank them and walk away. If your price is indeed too low, the shopkeeper will let you leave. If your price is indeed doable or very close to an acceptable price, they will call you back into the shop and accept or provide one last offer.
This method is quick, efficient and it works every time.
And for those travelers who don’t like to bargain in foreign countries (which makes sense if you’re not used to it), this is an easy way to get a better price without getting too involved in the potentially awkward bargaining process.
Abraham Wilson is responsible for oversight and management of tax compliance and quality. His position includes system wide support, guidance, tools and education development on both consumer taxes and personal income taxes.